Sales for July, August, and September are expected to be $100,000, $90,000, and $110,000, respectively, for Kristina Company. All sales are on account (terms 2/15, net 30 days) and are collected 60 percent in the month of the sale and 40 percent in the following month. One-half of all sales discounts are taken on the average. Raw materials are purchased one month before being needed, and all purchases and expenses are paid for as incurred. Activities for the quarter are expected to be: July August September Raw materials used $20,000 $18,000 $22,000 Salaries 35,000 34,000 46,000 Maintenance and repairs 9,000 9,000 9,000 Depreciation 18,000 18,000 18,000 Utilities and other 7,000 7,000 7,000 Dividends paid -0- 5,000 -0- Payment on bonds 4,000 4,000 4,000 Required: a) Using the information above, prepare a cash budget for August in good form. b) At the end of August it was determined that actual cash receipts were 10% lower than expected, raw materials costs were 15% higher due to supply chain problems, and salaries were 10% higher budgeted due to a workforce shortage requiring pay increases to retain staff. All other costs were actually as budgeted. Prepare a report for your supervisor showing all cash budget line items and a side-by-side comparison of budgeted amounts vs. actual, as well as the differences between each and the total actual net cash flow. c) Provide a brief analysis to your supervisor of actions you believe the company should undertake based on this analysis. Excel is recommended for this question.